There are signs that depression in Europe has reached its bottom - IREPAS

Competition in world markets of variety metal rolling is intensified every day. Trading restrictions adopted recently by some countries by the largest consumers of reinforcement and the construction variety have led to the redirect export flows to non -defending countries. This was written by the World Association of manufacturers of the Irepas varietal metal distribution.

A sharp increase in the supply in world markets has recently begun to exert serious pressure on the price of supply of reinforcement and rollery. Demand for varietal steel in world markets remained at the same level, and in Northern Europe, due to the abnormally low temperatures, it fell.

Some improvements were observed in South America, but they were also unstable and mainly seasonal.

To compete from the standpoint of the hard price today in world markets of variety metal rolling, it has become impossible. As soon as any company tries to take an adamant position and begins to raise the price, several others appear immediately, ready to sell cheaper, writes IREPAS. An excessive number of metallurgical plants creates prerequisites for further increasing competition in the long term.

The only positive point is the increase in prices for flat metal, capable of supporting rising prices for reinforcement and rollever in the future.

As for the forecast for January, Irepas analysts agreed that the worst for the global markets of construction metal rolling will soon be left behind: consumption in China and Europe is growing signs that the fall of the economy has reached the bottom and is about to resume its growth. A small amount of varietal metal rolling in warehouses in North America and Europe gives hope for a serious increase in orders in February 2013.

However, in general, the prospects for metallurgists, making reinforcement and rollery, today remain foggy due to the great unpredictability of the world market.